Question
In: Finance
A researcher is interested in examining how the net wealth of individuals changes over the course of their lifetimes.
A researcher is interested in examining how the net wealth of individuals changes over the course of their lifetimes. She has collected the following data regarding the age X, in years, and net worth Y, measured in thousands of dollars, of 12 individuals in the form of (x, y) pairs: (24, 153), (34, 201), (38, 297), and (83, 139). Calculate the correlation coefficient between the age and net worth of individuals：
A. -0.1
B. -0.361
C. 0
D. 0.206
Solutions
Expert Solution
steps
Step 1 calculate the average of given date
Step calculate the difference between data and average
then step3 sqare the result coming from step 2
Step4 multiply the difference of data
Step 5 calculate the standard deviation of both data
Stpe6 put the value in formula .
And final answer = " B " = - .361
jeff jeffy answered 2 years agoRelated Solutions
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